Review of Credit Ladder

Advertiser Disclosure

Your credit report is an important part of your financial identity. A good credit report gets crunched by crediting scoring companies to produce a numerical score to relay your creditworthiness. This credit score will influence your ability to secure loans and credit cards, as well as what kind of interest rates you will be charged from the lenders.

Credit is built up over time. A major factor in your credit score is the length of your credit history. If you’re a young adult with only a credit card to your name, it will be difficult to get a loan, and if you do, you’ll likely have expensive terms because your young and therefore lower credit score.

Every month, you make a significant payment, reliably and on time. However, your rent paid is not counted towards your credit report or credit score. If you have a mortgage and pay that monthly payment reliably and on time, those payments will improve your score. Doesn’t seem fair, right? Well, thankfully, there are some innovative partnerships happening to fix this credit information gap. One company doing this out of the United Kingdom is Credit Ladder.

Credit Ladder Review

How it Works

Credit Ladder acts as an intermediary between you, your landlord and the credit history company. Once your account information is registered and confirmed, you pay Credit Ladder your rent each month using recurring online payments and Credit Ladder automatically sends it to your landlord. With this online record of payment, Credit Ladder submits it to their credit scoring partner, Experian, who will include in their credit report. Credit Ladder will even accommodate roommates and parental payment assistance.

The effect is similar to the positive effect of regular mortgage payments made by homeowners. Homeowners have taken a loan out and so their payments are directly connected to their credit, and they are also a clear, long-term payment history. For renters, the money paid is not paying back a debt, so there has not been a similar record available, until now. By paying through Credit Ladder, Experian has a secondary source verifying the provided data, which can then be added to its own credit history.

Credit Benefits

If you have a long history of car loans, credit cards and lines of credit, then the Credit Ladder service is not a necessity for you. However, for new creditors seeking their first or second loans or credit cards, Credit Ladder could make an important difference.

When your credit history is compressed into a three-digit credit score, data is needed. Without any credit history, it’s very difficult to produce a credit score that reflects a creditworthy person. The limited data doesn’t provide much information and so that person is seen as a high-risk lender. In addition to data needed, credit history length also makes up a significant proportion of the credit score’s algorithms, so your history’s length takes up significant weight in that calculation. Though a decade of good credit history will give better loan terms than a couple years, those couple years of a good, reliable credit history will improve your ability to receive the desired loans.

The concept of including rent within credit history and credit scoring is a new one. Experian is the first company to offer this kind of service, using Rental Exchange, however, rental reporting will only grow in popularity as credit companies seek to most accurately reflect creditworthiness.

Service Cost

Perhaps it’s unbelievable, but this program has no cost to the tenant or the landlord. Credit Ladder is a company under Makeurmovelimited. This company, even for the awkward spelling of their name, is a reputable online real estate agent company that works a lot with rental properties. This experience obviously led them to see this gap in the marketplace.

There are reports that Credit Ladder has plans to monetize the company, though it is currently at too early of a stage. However, it should be a noted that within the Privacy Policy, the company states that the may use the personal information collected about you to “provide third parties with statistical information about our users – but this information will not be used to identify any individual user.” It’s not clear if this is the intended monetization of the company, it is a consideration to the user that this information may be sold.


Credit Ladder is a great option for young adults or others with little credit history and who consistently pay their rent on time. However, if you have any worries about not meeting your rental payments, it will be recorded on your credit history and it will have the opposite of the desired effect. For most people, though, rent payments are made consistently and they take up a significant proportion of your income. Therefore, you might as well reap some benefit of the payment by improving your availability to receive credit and to improve the terms of those loans. In the long run, having these payments recorded online for free could save you money.

American Equivalents

If you’re located in the UK, Credit Ladder is a great option and they may expand to other markets in the future. However, for now, the options available in the United States are RENTTRACK and eCredible. RENTTRACK is not only partnered with Experian, with all three major credit-reporting companies to include your rental payments. They offer a wide range of services to both the tenant and landlord. Through their service, you can pay online and they also provide a sleek dashboard to monitor your credit score. However, there is a technology fee charged for this service. With eCredible, they provide a score based on your rent as well as a whole range of other regular bill payments. However, they aggregate this data into their own credit score system, AMP (All My Payments), of 0 to 100. This score could be worth the fee they charge for it if the lender you’re meeting with will accept the score, but as it’s not a nationally recognized score, that acceptance may be difficult.

Rent payment inclusion in credit history is an important step to better reflect the creditworthiness of tenants. Homeowners have seen the benefit of an improved credit score with mortgage payments, and this benefit is slowly being shared to everyone.